I do not own this stock and I am not planning buying this soon,just want to share some research data.

OK some number first.

EPS Growth Rate: 24% (10 years)

Cash Growth Rate: 16% (5 years)

Equity Growth Rate: 31% (10 years)

Sales Growth Rate: 60% (10 years)

ROIC: 11% (5 years) : 11.6%

Yes this will easily pass the Rule #1 criteria.

Next the Estimated EPS growth rate is 22.9%, Future PE 45(estimated) , get a sticker price $80. Today’s trading price is $ 21.

Short term may still see off but long term this could be abargain. Check following competitors,

None of them have more than 50% margin of safety.

1000 employee makes it has room to grow.

Weak dollar and strong internal brand may help their revenuegrowth for 2008. Recession will a worry – CSCO already issued a warning thatthe banks are ordering less expense network equipment.